Morgan Stanley’s newly launched spot Bitcoin ETF has overtaken the WisdomTree Bitcoin Fund (WBTC) in total net inflows just days after its debut.
The Morgan Stanley Bitcoin Trust (MSBT) recorded $19.3 million in inflows on Wednesday, pushing its cumulative total to $103 million.
That figure now exceeds the $86 million in net inflows accumulated by WisdomTree’s WBTC since its launch in January 2024, according to data from Farside Investors.
The milestone highlights growing competition in the Bitcoin ETF market, with more asset managers entering the space. On Tuesday, Goldman Sachs — previously critical of crypto — filed with the SEC to introduce its own Bitcoin-linked ETF.
Morgan Stanley’s spot Bitcoin ETF launched on April 8 with a market-leading fee of 0.14%, narrowly undercutting the Grayscale Bitcoin Mini Trust ETF by one basis point.
The fund entered a crowded field of 11 other spot Bitcoin ETFs, including BlackRock’s iShares Bitcoin Trust (IBIT) — the dominant player with $64.3 billion in net inflows — and Fidelity’s Wise Origin Bitcoin Fund, which has attracted $10.9 billion.
Other competitors include offerings from Bitwise, ARK 21Shares, and Grayscale.
If current momentum continues, Morgan Stanley’s ETF could soon surpass the Invesco Galaxy Bitcoin ETF (BTCO), Valkyrie Bitcoin ETF (BRRR), and the Franklin Bitcoin ETF (EZBC), which have accumulated $245 million, $326 million, and $375 million in net inflows, respectively.
ETF lifespans are shrinking
A Bloomberg report published April 2 found that the average lifespan of ETFs declined from 4.66 years in 2024 to around 3.5 years in 2025.
More than 40 ETFs were liquidated in the first two months of 2026 alone, though none were major crypto funds. These liquidated ETFs had an average lifespan of just 21 months — roughly half that of those shut down in 2025.
Bloomberg ETF analyst James Seyffart previously warned in December that many crypto exchange-traded products could be liquidated by the end of 2027 due to weak demand. At that time, more than 126 ETP applications were still awaiting decisions from the SEC.
